Basic Configuration setting for Credit Management

Here i am trying to explain the configuration steps for credit management and this article is for people who wants the basic and step by step configuration for credit management

In sap there is two different types of credit controls those are 1) Static 2) Dynamic

In Static check there is no Horizon period, and in dynamic you have horizon period.

Horizon period is the duration of the time. If you maintain horizon period as 2 months, then all the open documents that are with in this period are taken for credit check, documents beyond that are not for consideration. in static system will consider the all open document till now.